Section 25: Value, what constitutes.

Value is any consideration sufficient to

support a simple contract. An antecedent
or pre-existing debt constitutes value; and
is deemed such whether the instrument is
payable on demand or at a future time.
Love and affection, gratitude and moral
obligation based on honor and dignity are
not considered valuable consideration.

Example:
Maria issues a promissory note to Paul for P5,000 payable upon the order of Paul for the purchase
of Television worth P5,000.

Maria issued a promissory note for P10,000

payable to the order of Paul after 90 days. The
note bears interest at 12% per annum. At
maturity, Maria could not pay so he offered to
issue another note to Paul, which new note Paul
accepted, with the principal and the interest on
the old note as the new principal which will
likewise bear interest at 12% per annum.

Cases:
Bibiano Banas vs. CA
Chan Wan vs. Tan Kim
Atrium Management Corp. vs. CA